EPA v. CHALLENGE-COOK BROTHERS/I. JONES

Case summary

I. NATURE OF CHALLENGE-COOK BROTHERS THE I. JONES RECYCLING FACILITY IS LOCATED AT 3651 CLINTON ST, FT. WAYNE, IN. I. JONES PARTNERSHIP OWNED AND OPERATED THE FACILITY FROM AUGUST 1985 UNTIL SEPT. 9, 1986, AT WHICH TIME THE CITY OF FT. WAYNE OBTAINED A STATE COURT ORDER EN- JOINING OPERATION OF THE FACILITY. PRIOR TO AUGUST 1985, THE FACILITY WAS OPERATED BY HANCHAR INDUSTRIAL WASTE MANAGE MENT, INC. (HIWM) (5/79-6/82), THEN BY CHEM - RESOURCE RECO- VERY, INC. (CRRI) (6/82-1/83), AND FINALLY, BY CONTINENTAL WASTE SYSTEMS, INC. (CWSI) (1/83-8/85). BETWEEN 1980 AND 1982, CHALLENGE - COOK BROS., IN BYRAN, OH, EMPLOYED THE TRANSPORATATION, AND TREATMENT OR DISPOSAL SERVICES OF HIWM AND CRRI. HIWM RECEIVED FROM CHALLENGE - COOK BROS., AND TRANSPORTED TO THE SITE: 4000 GAL. OF SOL- VENTS, 1760 GAL. OF PAINT SLUDGE, 200 GAL. OF WASTE WATER AND 165 GAL. OF PAINT THINNER. CRRI SIMILARLY RECEIVED AND TRANSPORTED: 1815 GAL. OF WASTE W3ATER, 220 GAL. OF WASTE FLAMMABLE LIQUID, AND 165 GAL. OF PAINT SLUDGE. THE WASTE WATER SHIPMENTS, WHICH ACCORDING TO SHIPPING DOCUMENTS ALSO INCLUDED WASTE OIL AND WASTE PAINT SLUDGE, WERE MANIFESTED AS NON-HAZARDOUS WASTE. ALL OTHER SUBSTANCES, HOWEVER, WERE MANIFESTED AS HAZARDOUS WASTES. THIS INVOLVEMENT BY CHAL- LENGE-COOK BROS., AS A GENERATOR OF HAZARDOUS SUBSTANCES, WHO ARRANGED FOR TREATMENT OR DISPOSAL OF, AND TRANSPORTA- TION OF SUCH HAZARDOUS SUBSTANCES TO THE SITE, MAKES IT JOINTLY AND SEVERALLY LIABLE FOR THE USEPA'S UNREIMBURSED RE SPONSE COSTS UNDER SECT 107A3 OF CERCLA, 42 USC SECT 9607A3. CHALLENGE-COOK BROS.' CONTRIBUTION OF 8290 GAL. COMPRISES APPROX. .176% OF THE TOTAL WASTE CONTRIBUTED TO THE SITE. THIS CONTRIBUTION PLACES CHALLENGE-COOK BROS. AMONG THE TOP 70 GENERATORS AT THE SITE OVERALL, AND AMONG THE 15 LARGEST RECALCITRANT GENERATORS. II. NATURE OF USEPA RESPONSE ACTION ON SEPT, 23, 1986, A TECHNICAL ASSISTANCE TEAM CONDUCTED A SITE ASSESSMENT OF THE FACILITY FOR USEPA. AS A RESULT OF THIS SITE ASSESSMENT, IT WAS DETERMINED THAT THE FACILITY POSED ON IMMINENT AND SUBSTANTIAL ENDANGERMENT TO PUBLIC HEALTH, WELFARE OR THE ENVIRONMENT. USEPA, THEREFORE, UNDER TOOK A PHASED REMOVAL ACTION AT THE SITE. IN THE FIRST PHASE, USEPA CHARACTERIZED THE CONTENTS OF HAZARDOUS WASTE DRUMS, STAGED AND SECURED THE DRUMS, OVERPACKED LEAKING DRUMS, INITIATED SITE SECURITY AND REMOVED SOME HIGHLY TOXIC WASTES. IN THE SECOND PHASE, USEPA REMOVED AND DISPOSED OF HAZARDOUS WASTE IN DRUMS AND ROLLOFF BOXES. THE THIRD PHASE INVOLVED THE REMOVAL OF LIQUID HAZARDOUS WASTES FROM TANKS AND TANKERS. USEPA REMAINED ON SITE PERFORMING THESE REMOVA MAL ACTIVITIES UNTIL NOVEMBER 23, 1988, HAVING OBTAINED FROM USEPA HQ A WAIVER OF THE 12-MONTH TIME LIMITATION, AND 2 MIL EXPENDITURE LIMITATION ON REMOVAL ACTIVITIES. III. NATURE OF BANKRUPTCY PROCEEDING ON SEPT. 15, 1989, CHALLENGE-COOK BROS. FILED A VOLUNTARY PETITION FOR BANKRUPTCY IN THE U.S. BANKRUPTCY CT. FOR THE NDOH UNDER CHAPTER 7, TITLE 11 OF THE U.S. BANKRUPTCY CODE. NOTICE OF THE MEETING OF THE CREDITORS ESTABLISHED THE DEAD- LINE FOR FILING PROOFS OF CLAIMS AS JAN. 30, 1989. IV. CAUSE OF ACTION USEPA UNDERTOOK RESPONSE ACTIONS AT THE I. JONES RECYCLING FACILITY PURSUANT TO SECTS 104 AND 106 OF CERCLA, 42 USC SECTS 9604, 9606. THE RESPONSE COSTS INCURRED WERE NOT IN- CONSISTENT WITH THE NAT'L CONTINGENCY PLAN. SECTS 107A3 OF CERCLA, 42 USC SECT 9706A3, PROVIDES THAT ANY PERSON WHO AR- RANGED FOR DISPOSAL, TREATMENT OF HAZARDOUS SUBSTANCES, AT A FACILITY FROM WHICH THERE IS A RELEASES OR THREATENED RE- LEASE OF HAZARDOUS SUBSTANCES, IS LIABLE TO THE U.S. FOR ALL RESPONSE COSTS INCURRED BY THE USEPA AS A RESULT OF THE RE- LEASE OR THREATENED RELEASE OF HAZA

Defendants (1)

• CHALLENGE-COOK BROTHERSNamed in complaint

Facilities (1)

• ALLEN COUNTY DETENTION CENTER

  3651 N CLINTON ST, FT WAYNE, IN, 46805

  Registry ID: 110000748923

Statutes cited

• CERCLA 107 — Superfund
• CERCLA 106 — Imminent & Substantial Endangerment Order

Timeline (3 milestones)

• 1986-09-23Enforcement Action Data Entered
• 1990-01-26Referred To Dept Of Justice
• 1990-01-30Complaint Filed With Court